Colorado currently has strict restrictions designed to limit the participation of outside investors.

Current laws make it impossible for publicly traded companies to own cannabis licenses in Colorado. That’s because the laws only allow 15 out-of-state owners of a company licensed for cannabis sales.

That means public companies and venture capital funds – with more than 15 investors outside of the state – are unable to invest.

This outdated law is restricting capital investment in Colorado . . . and making the state a less competitive location for companies in this growth market.

It’s making it harder for Colorado companies to raise capital. And that’s making it difficult for these companies to compete with companies from California and Washington state, where capital is easier to obtain.

Last year, the state legislature passed a law to allow outside investment. However, Democrat Gov. John Hickenlooper Jr. vetoed the bill.

Colorado’s legislature is picking up the legislation this week. And companies in the state are threatening to leave if the governor won’t sign off.

With $1.5 billion in cannabis sales, Colorado represents 15% of the total U.S. market.